Barcodes first came out in retail on June 26, 1974, when a pack of Wrigley’s Juicy Fruit gum was scanned in Troy, Ohio. The idea itself dates back to 1949, when Norman Woodland and Bernard Silver filed the first barcode patent, granted in 1952.
In this guide, you’ll explore the full barcode history from invention to global adoption, see a barcode timeline, meet the inventors, and discover what GS1 Sunrise 2027 means for the future of retail and logistics.
The Birth of Barcodes (1948–1952) – From Morse Code to the First Barcode Patent
The history of barcodes began in 1948, when a U.S. supermarket executive searched for a faster, more accurate way to process sales, reduce pricing errors, and improve inventory management. Two students from Drexel Institute of Technology, Norman Joseph Woodland and Bernard Silver, overheard the problem and decided to create a solution.
While at Miami Beach, Woodland recalled the Morse code he had learned as a Boy Scout. He drew a sequence of dots and dashes in the sand, then stretched them into parallel thin and thick lines—creating the visual foundation of the modern barcode system.
In 1949, Woodland and Silver filed the first barcode patent, officially titled “Classifying Apparatus and Method,” which was granted in 1952. This original barcode design encoded product information in a printed symbol, read by a high-intensity light source, and interpreted through an oscilloscope.
Their early concept even included a circular “bull’s-eye” barcode, which could be scanned from any direction. However, the prototype required a 500-watt light bulb and sensitive electronics, making it impractical for everyday retail. At the time, there were no affordable computers or laser scanners to bring the idea into mass use. As a result, the barcode remained an innovative but ahead-of-its-time concept—one that would take more than two decades to reach its first commercial success in supermarkets.
The First Real Barcode Application – KarTrak Railroad Tracking System (1960s–1970s)
Before barcodes transformed supermarket checkouts, they were tested on a much bigger stage—tracking America’s freight trains. In the 1960s, the U.S. railroad industry faced a massive challenge: how to identify and manage hundreds of thousands of freight cars moving across thousands of miles. The Association of American Railroads turned to David J. Collins, an MIT graduate at Sylvania Electric Products, who developed the KarTrak Automatic Car Identification (ACI) system—the world’s first large-scale commercial barcode application.
KarTrak used durable metal plates painted with a sequence of vertical blue and orange stripes. Each pattern encoded ownership, car number, and other identification data. As trains passed trackside scanners, a 500-watt lamp illuminated the plate, while optical sensors read the reflected light patterns. The data was then decoded and sent to teletype printers or stored on magnetic tape for later processing—an early glimpse of automated tracking decades before the digital supply chain.
At its peak in 1975, about 90% of U.S. freight cars carried KarTrak labels. However, the system’s success was short-lived. Dirt, rust, and fading paint caused misreads to skyrocket, and many railroads failed to maintain the equipment. Combined with high operational costs and a wave of bankruptcies in the industry, KarTrak was officially abandoned in 1978.
Although KarTrak failed, it proved that barcodes could handle massive, complex logistics systems. The lessons learned in scanning technology, durability, and standardization paved the way for the retail barcode revolution that would soon follow.
The Supermarket Revolution – UPC Barcodes Go Mainstream (1970s–1980s)
By the early 1970s, supermarkets were bigger than ever, but their checkout process was stuck in the past. Cashiers had to manually key in every price, long lines frustrated shoppers, pricing errors cut into profits, and inventory tracking was slow and inaccurate. Retailers needed a breakthrough—and barcodes were ready to deliver.
The Need for a Retail Game-Changer
Supermarkets were looking for a solution that could:
- Speed up checkout and shorten customer wait times
- Eliminate manual entry errors and pricing disputes
- Automate inventory management to prevent stockouts
- Enable real-time sales tracking for better decision-making
The Birth of the UPC Barcode
In 1973, IBM engineer George Laurer developed the Universal Product Code (UPC)—a rectangular barcode with 12 numeric digits. It solved many of the printing and scanning problems of Norman Woodland’s earlier circular “bull’s-eye” design, which often smudged in production.
Why UPC Won the Industry Standard Battle:
- Reliable scanning from multiple angles
- Compact yet able to store essential product and manufacturer data
- Compatible with emerging laser scanning technology
- Easy to print on a variety of packaging materials
The First-Ever Retail Barcode Scan
- Date: June 26, 1974
- Location: Marsh Supermarket, Troy, Ohio
- Product: A pack of Wrigley’s Juicy Fruit gum
At 8:01 a.m., cashier Sharon Buchanan scanned Clyde Dawson’s pack of gum, triggering the first retail barcode “beep” in history. That moment marked the start of a retail revolution.
Rapid Expansion in the 1980s
By the 1980s, major chains like Walmart and Kmart adopted barcode scanning nationwide. Checkout speeds improved, sales data became more accurate, and inventory turnover increased. What began as a small beep in an Ohio supermarket became a global standard that transformed retail operations forever.
Barcodes Take Over the World – From Retail to Every Industry (1980s–2000s)
By the 1980s, the barcode had moved far beyond the supermarket checkout lane. What began as a retail innovation became a universal tracking and identification system that transformed industries worldwide. Its unmatched ability to improve speed, accuracy, and operational efficiency made it indispensable.
From Grocery Stores to Global Operations
Barcodes quickly became indispensable across industries worldwide. In retail and supermarkets, they enabled faster checkouts, automatic pricing, and error-free transactions. In warehouses, barcode scanners paired with inventory software allowed real-time stock updates, reducing shortages and overstocking. Manufacturing facilities used them to track parts through the production line, improving quality control.
Healthcare adopted barcode scanners for safer medication administration, patient identification, and lab specimen tracking. In government and transportation, mobile computers with barcode scanners streamlined passport control, vehicle inspections, and cargo tracking. Logistics and e-commerce giants use high-speed industrial barcode scanners to sort thousands of packages per hour. Even in libraries, barcodes transformed cataloging and lending into a quick, organized process.
By the late 1990s, barcodes were no longer a convenience—they had become a critical infrastructure for commerce, healthcare, government, and transport.
The Rise of 2D Barcodes – More Data in Less Space
As businesses demanded richer data storage and better scanning accuracy, 2D barcode formats emerged:
- PDF417 (1991) → Used for boarding passes, government-issued IDs, and shipping labels
- QR Codes (1994) → Created by Toyota’s Denso Wave to track car parts, later adopted for marketing, payments, and consumer engagement
By the 2010s, smartphones with built-in cameras turned QR codes into an everyday digital bridge—linking physical products with online content. Apple’s 2017 integration of native QR scanning into iPhones made consumer adoption seamless.
With 2D barcodes storing more information in less space, scanner technology advanced in parallel. Image-based barcode scanners replaced traditional laser-only models, enabling fast, omnidirectional reading of both 1D and 2D codes. Rugged Android mobile computers with built-in 2D scanners became common in industries like warehousing, delivery, and manufacturing, where workers need to scan items and update orders on the go.
Powering the Next Stage of Efficiency
As barcode usage spread, the demand for high-performance scanners skyrocketed. Businesses required devices that could handle high-volume scanning, damaged codes, and both 1D and 2D formats. Brands like Tera stepped in, delivering reliable handheld, wireless, and industrial-grade barcode scanners to keep operations running at top speed.
Barcode Scanners: From Laser Guns to Android Mobile Computers
During this period, barcode scanners themselves evolved just as quickly as the codes they read. Early retail systems relied on wired laser scanners—fast and accurate, but limited to the checkout counter. In warehouses and manufacturing plants, rugged handheld scanners emerged, built to withstand drops, dust, and extreme temperatures.
By the late 1990s, wireless barcode scanners connected via Bluetooth or Wi-Fi allowed staff to move freely without being tethered to a POS terminal. The 2000s introduced mobile computers with integrated barcode scanners—essentially handheld devices running software for inventory control, order processing, and asset tracking. Many of these devices now run Android, combining powerful scanning engines with apps for real-time data entry, making them indispensable in logistics, field service, and retail floor management.
The Future of Barcodes – Technology Trends Shaping 2020s and Beyond
Barcodes have powered retail, logistics, and healthcare for decades, but the next chapter is already unfolding. Driven by data-rich applications, global standards, and AI-powered scanning, barcodes are evolving into more intelligent and interactive tools that connect products, businesses, and consumers like never before.
GS1 Sunrise 2027 – The Global Shift to 2D Barcodes
By 2027, GS1 will require retail POS systems worldwide to scan both 1D UPC and 2D barcodes. This change means that most products will feature dual-marked labels—a traditional UPC for compatibility and a 2D code (such as a QR Code) for enhanced data storage.
Why this matters for businesses:
- Richer Data Storage → 2D barcodes can hold expiration dates, batch numbers, allergens, product origins, and regulatory details
- Better Consumer Interaction → Shoppers can scan a code with their smartphone to see product info, promotions, sustainability reports, and even traceability data
- Universal Compatibility → Any smartphone or AI-enabled camera can scan the code without the need for expensive proprietary scanners
Forward-thinking brands like Tera are already delivering multi-functional barcode scanners that read both 1D and 2D codes at high speed—ensuring businesses can transition smoothly without disrupting daily operations.
RFID & AI – Beyond the Traditional Barcode
While 2D codes will dominate the coming decade, RFID (Radio Frequency Identification) offers another leap forward. RFID tags allow wireless bulk scanning without direct line-of-sight, speeding up warehouse and inventory operations while reducing labor costs.
At the same time, AI-powered barcode scanners are transforming logistics. These devices can:
- Identify and classify products automatically
- Detect damaged or misprinted codes in real time
- Integrate with inventory management software for predictive restocking
Will Barcodes Disappear?
Not in the foreseeable future. Despite advances in RFID and AI, barcodes remain the most cost-effective, globally recognized, and reliable identification method. Instead of disappearing, they will continue to coexist and integrate with new technologies—blending low-cost simplicity with high-tech intelligence.
Barcode History Timeline
|
Year |
Milestone |
Technology |
Key Application |
|
1949 |
Patent filed by Woodland & Silver |
Bullseye barcode concept |
Retail prototype idea |
|
1952 |
First barcode patent granted |
Printed symbol + light reader |
Proof of concept |
|
1967 |
KarTrak ACI in railroads |
Color stripe scanning |
Freight tracking |
|
1973 |
UPC standard introduced |
1D barcode + laser scanner |
Retail POS |
|
1974 |
First retail scan |
UPC laser scanner |
Grocery checkout |
|
1991 |
PDF417 introduced |
2D barcode |
Boarding passes, IDs |
|
1994 |
QR Code invented |
2D barcode |
Auto parts tracking |
|
2010s |
Smartphone scanning mainstream |
Camera-based reader |
Consumer interaction |
|
2027 |
GS1 Sunrise transition |
2D as global standard |
Rich product data |
Conclusion: From a Beachside Sketch to a Global Phenomenon
What began as a simple idea sketched in the sand has evolved into one of the most essential technologies in modern commerce.
So the next time you hear that familiar “beep” at the checkout, take a moment to appreciate the tiny yet powerful innovation that keeps businesses moving and supply chains running smoothly.
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FAQs
Do barcodes need the internet to work?
No. Barcodes store data that scanners can read offline. However, inventory systems may need the internet to update records.
Can scanners read damaged barcodes?
It depends. 1D barcodes may become unreadable if damaged, while 2D barcodes have error correction to recover missing data. Tera scanners are designed to handle faded or torn codes.
Are barcodes the same worldwide?
Mostly, but not always. Most products today use GTIN standards—UPC (USA) and EAN (globally). Specialized industries like pharmaceuticals use unique codes, but GTIN ensures global compatibility.
What is the difference between 1D and 2D barcode scanners?
1D barcode scanners read traditional UPC/EAN codes using lasers or imaging sensors, while 2D scanners use imaging to capture QR codes, Data Matrix, and PDF417 codes, which store more data and can be read even if partially damaged.
Can Android phones work as barcode scanners?
Yes. With the right app, an Android smartphone can scan barcodes using its camera. However, for high-speed or industrial environments, dedicated Android mobile computers or professional barcode scanners are faster, more durable, and more accurate.
What is a rugged mobile computer?
A rugged mobile computer is a handheld device designed to withstand harsh environments. It combines a built-in barcode scanner with a mobile OS (often Android) and business apps for inventory, order management, and logistics.
How to choose between a handheld scanner and a mobile computer?
Choose a handheld scanner if you only need to scan codes at a fixed location. Opt for a mobile computer if you need scanning plus on-device processing, wireless data sync, and app integration in the field.
